Office of House Bill AnalysisH.B. 1604
By: Thompson
Ways & Means


Currently, tax-exempt charitable organizations may purchase property after
tax seizure for less than the minimum bid if no satisfactory bid is
received.  Also, a nonprofit organization that develops and rebuilds
affordable housing may buy tax-foreclosed property before a public sale.
H.B. 1604 extends the same authorizations to certain tax-exempt religious
organizations and allows a taxing unit to waive accrued penalties and
interest on delinquent tax for certain properties acquired by tax-exempt
religious organizations.   


It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 


SECTION 1.  Amends Section 33.011(a), Tax Code, to authorize the governing
body of a taxing unit to waive penalties and provide for the waiver of
interest on a delinquent tax if the property for which the tax is owed is
acquired by a tax-exempt religious organization that qualifies the property
for exemption before the first anniversary of the date the religious
organization acquires the property. Makes conforming changes. 

SECTION 2.  Amends Section 34.01(e), Tax Code, to authorize an officer
selling property pursuant to the foreclosure of a tax lien to bid the
property off to a religious organization for less than the tax warrant
amount or the market value of the property if a sufficient bid is not

SECTION 3.  Amends Section 34.015, Tax Code, to include a religious
organization, that owns other property located in a municipality that is
exempt from taxation under Section 11.20 (Religious Organizations) and has
entered into a written agreement with the municipality regarding the
revitalization of the land, among the entities to which land may be sold
following the foreclosure of a tax lien in favor of the municipality or the
seizure of land under Subchapter E, Chapter 33 (Delinquency) in a manner
provided by the governing body of a municipality.  Makes conforming

SECTION 4.  Repealer:  Section 11.433(e) (Late Application for Religious
Organization Exemption), Tax Code. 

SECTION 5.  Effective date: September 1, 1999.

SECTION 6.  Emergency clause.